Middleboro Review 2: POLITICO Massachusetts Playbook: Healey's housing blueprint

Wednesday, October 18, 2023

POLITICO Massachusetts Playbook: Healey's housing blueprint

With help from Kelly Garrity

DOWN PAYMENT — Gov. Maura Healey is releasing a five-year, $4.1 billion housing bond bill today that significantly increases investments in public and affordable housing and advances several contentious policy proposals to try to chip away at the state’s dire housing shortage.

The sweeping package of capital investments and policy changes is more than double the $1.8 billion housing bond bill then-Gov. Charlie Baker signed into law in 2018. It includes $1.6 billion for public housing improvements, and 28 policy initiatives that range from easing local zoning regulations to establishing a state Office of Fair Housing. And it’s accompanied by a trio of executive orders that authorize two new housing advisory panels and a study of surplus public land that can be used for housing production.

One of the buzziest — and politically fraught — initiatives in the bill: transfer fees. Under Healey’s proposal, municipalities and regional affordable housing commissions would be able to levy a tax of 0.5 percent to 2 percent on real-estate sales over either $1 million or the county’s median home sales price, whichever is greater. The proceeds would go toward affordable housing development.

That Healey even included transfer fees is a major win for housing advocates, municipal officials and state lawmakers from Boston to Cape Cod to western Massachusetts who have spent years unsuccessfully pushing the tax on Beacon Hill. Baker was skeptical of the concept that had also encountered fierce resistance from real-estate industry groups. Neither House Speaker Ron Mariano nor Senate President Karen Spilka have endorsed it.

But advocates and, now, the Healey administration believe the state’s worsening housing crisis has created an opening to push through policy changes that had previously been politically challenging, from levying transfer fees to allowing certain accessory dwelling units .

Healey is “resetting the table” for a legislative conversation on transfer fees, state Sen. Julian Cyr, a longtime advocate for the tax, told Playbook. After watching Healey push through a cut to the short-term capital gains tax rate that Democratic legislative leaders initially dismissed when it came from her Republican predecessor, Cyr believes the governor can help transfer fees go the distance, too.

The governor’s transfer-fee proposal borrows elements from several bills already floating around Beacon Hill. That includes legislation from state Sen. Jo Comerford, who also hopes the governor's heft can help "vault" the concept forward.

Also tucked into the behemoth bond bill: a rule change that would let tenants petition to seal court records from eviction proceedings. It’s something state Sen. Lydia Edwards, who co-chairs the joint housing committee, tried to pass as a provision of the "Chapter 257" eviction protections that were revived in the state budget. But the measure didn’t make it through conference committee negotiations.

Healey will formally unveil the bond bill at a 9:30 a.m. press conference in Chelsea. Expect her to talk about how it “delivers” on her pledges to build more housing and make it more affordable. But it’s not a win yet — this is only the start of a long legislative process.

GOOD WEDNESDAY MORNING, MASSACHUSETTS. One policy not in the housing bond bill: rent control. Healey’s housing officials, in a briefing for reporters yesterday, insisted the governor is still open to the idea. But they said the point of this bill was finding ways to boost housing production.

TODAY — Healey highlights her administration’s housing efforts at 12:30 p.m. in Springfield and 2:30 p.m. in Pittsfield. Lt. Gov. Kim Driscoll speaks at a Gateway Arts celebration at 7 p.m. at MFA. Boston Mayor Michelle Wu is on WBUR’s “Radio Boston” at 11 a.m. and in Roxbury for a housing tour at 1 p.m.

Tips? Scoops? Email us: lkashinsky@politico.com and kgarrity@politico.com .

GO INSIDE THE CAPITOL DOME: From the outset, POLITICO has been your eyes and ears on Capitol Hill, providing the most thorough Congress coverage — from political characters and emerging leaders to leadership squabbles and policy nuggets during committee markups and hearings. We're stepping up our game to ensure you’re fully informed on every key detail inside the Capitol Dome, all day, every day. Start your day with Playbook AM, refuel at midday with our Playbook PM halftime report and enrich your evening discussions with Huddle. Plus, stay updated with real-time buzz all day through our brand new Inside Congress Live feature. Learn more and subscribe here.

DATELINE BEACON HILL

MARIANO WATCH — The U.S. House still can’t pick a speaker, but it looks like Ron Mariano is on track to keep leading Massachusetts’ lower legislative chamber — for now.

Mariano said he’s running for reelection in 2024 and for another term as speaker in 2025. But he wouldn’t commit to serving out that next term if he wins. Here’s his exchange with reporters after House Democrats’ caucus yesterday:

Will you run for reelection? “Sure.”

Will you run for speaker again? “Sure.”

Would you serve out the rest of that term? “That remains to be seen.”

Mariano’s office quickly followed up with a statement saying the Quincy Democrat, who turns 77 on Halloween, “intends” to run again for his seat and for the speakership. His campaign spokesperson, Scott Ferson , said Mariano’s reelection efforts will ramp up next year.

— “Gun control proposal will get a vote after lawmakers attach it to budget bill,” by Matthew Medsger, Boston Herald: “Following a procedural move gun rights groups are calling a legislative ‘shell game,’ lawmakers will vote on a controversial new gun bill this week, after House leadership revealed they had attached much of the bill to the 2023 close-out budget.”

— “Beacon Hill Lobbying Firms Hauling In Millions,” by Chris Lisinski, State House News Service (paywall): “Ten firms collected more than $1 million in payments from clients between January and June, according to data obtained by the News Service after it was finalized last week by Secretary of State William Galvin's office, which oversees lobbyists. Twenty-three firms earned $500,000 or more, and 66 hauled in at least $100,000.”

MIGRANTS IN MASSACHUSETTS

— “Healey’s move to cap Mass. shelter capacity amid migrant influx invites criticism, legal questions,” by Samantha J. Gross and Matt Stout, Boston Globe: “Laura Massie, a senior attorney at Greater Boston Legal Services, said [Gov. Maura] Healey’s announcement spurred ‘a moment of panic’ in her office, which provides free legal services to low-income people in the Boston area. Massie said that the law is ’pretty clear’ the state is obligated to provide shelter to eligible families, and that by turning people away, ‘they would not be in compliance with the existing state statute.’”

Healey’s office argues the statute is “subject to appropriation” — or that the state only has to follow the law so long as it has funding.

House lawmakers continue to sit on Healey's request for $250 million to prop up the shelter system. Mariano told reporters yesterday that he "would be very surprised" to see any money move before the end of the month, when the shelter system is projected to hit capacity. He also said he's "not about to change" the shelter law that's been on the books for 40 years.

Some progressive activists are questioning how Healey can say the state doesn’t have enough money for the shelter system when she just signed into law upwards of $1 billion in tax cuts and credits that will benefit low-income families as well as the rich.

Lt. Gov. Kim Driscoll defended the administration’s decision while in Springfield yesterday, telling reporters that “we’re not eradicating the right-to-shelter law, we’re going to continue to do everything we can.”

FROM THE HUB

ENDORSEMENT CORNER — Jamaica Plain Progressives is backing Ben Weber for Boston’s next District 6 city councilor after the group’s initial pick, embattled Councilor Kendra Lara , failed to make it through the preliminary election.

“During our membership vote prior to the preliminary election, JPP used ranked-choice voting and Ben clearly was our members’ top choice of the two candidates who advanced to the general election,” the group wrote in a newsletter sent out Tuesday afternoon. “It is important to ensure that the City Council — and especially our district — has strong progressive representation.”

But JP Progressives members are still grappling with the fallout of endorsing Lara, who voters resoundingly rejected in her bid for a second term following a late-June car crash. That includes Ed Burley , who resigned as co-chair of the group’s steering committee after the preliminary election and who penned an op-ed in CommonWealth Magazine yesterday saying the situation should serve as a wake-up call to members.

— “In Boston City Council’s at-large race, a pair of serious contenders vie for an open seat,” by Danny McDonald, Boston Globe: “Despite wildly disparate paths to Boston politics, two of the challengers who are predicted to do well in this fall’s City Council at-large field cite the same phrase when asked what sets their candidacy apart. ‘Life experience,’ both Bridget Nee-Walsh and Henry Santana said during separate interviews.”

— “Boston City Council punts vote on Mass and Cass tent ban,” by Gayla Cawley, Boston Herald: “The Boston City Council won’t vote on the mayor’s anti-encampment ordinance for the Mass and Cass zone until next week, effectively putting off action until the final possible moment. After chairing a seven-plus hour working session on the ordinance Monday, City Councilor Ricardo Arroyo, who is tasked with pulling the matter from committee and calling for a vote, texted his colleagues Tuesday evening to inform them that he tested positive for COVID-19.”

PLAYBOOK IS GOING GLOBAL! We’re excited to introduce Global Playbook, POLITICO’s premier newsletter that brings you inside the most important conversations at the most influential events in the world. From the buzzy echoes emanating from the snowy peaks at the WEF in Davos to the discussions and personalities at Milken Global in Beverly Hills, to the heart of diplomacy at UNGA in New York City – author Suzanne Lynch brings it all to your fingertips. Experience the elite. Witness the influential. And never miss a global beat. BE PART OF THE CONVERSATION. SUBSCRIBE NOW .

ISRAEL-HAMAS WAR

SHOW OF SUPPORT? — As President Joe Biden visits Israel in a show of solidarity, the Boston City Council will consider a resolution calling on the federal government “to provide whatever assistance it can to the State of Israel and the Israeli people.”

The resolution, filed by Councilor Michael Flaherty , condemns the “cowardly terrorist actions of Hamas” and expresses support for Israelis and Palestinians “suffering as a result of the terrorist acts perpetrated by Hamas.” It’s already facing objection from at least one of the council’s far-left members, Tania Fernandes Anderson .

FROM THE OPINION PAGES — Rep. Seth Moulton , a Marine Corps veteran, says Israeli Prime Minister Benjamin Netanyahu needs an “endgame” for Gaza in a new CNN op-ed .

— “IfNotNow calls for Israel-Hamas war ceasefire at Sen. Warren’s Springfield office,” by Ryan Mancini, MassLive.

PLANES, TRAINS AND AUTOMOBILES

— “‘Embarrassing’ Red Line safety breakdown in Ashmont Tunnel, emails say,” by Chris Van Buskirk, Boston Herald: “MBTA safety officials were not immediately notified of a decision to shut down a work site Saturday inside the Red Line’s Ashmont Tunnel because of air quality concerns, a situation that one employee described as ‘embarrassing,’ according to internal emails obtained by the Herald.”

CHARLIE ON THE NCAA

— “Proclaiming a grave threat to college sports, Charlie Baker takes push for national NIL policy to Congress,” by Michael Silverman, Boston Globe: “The prospect of college athletes becoming paid employees of their schools poses a grave threat to the survival of all but a select few university athletic programs, NCAA president and former Massachusetts governor Charlie Baker said Tuesday in testimony before the Senate Judiciary Committee in Washington.”

DAY IN COURT

— “Trump asks fed judge to toss out ballot challenge,” by Christian M. Wade, Salem News: “Former President Donald Trump is asking a federal judge to toss out a lawsuit filed by a long-shot Republican candidate seeking to keep him off the Massachusetts ballot in next year's election.”

THE LOCAL ANGLE

FIRST IN PLAYBOOK — Gov. Maura Healey , Lt. Gov. Kim Driscoll , Democratic House Whip Katherine Clark and state Sen. Lydia Edwards are endorsing Revere Acting Mayor Patrick Keefe for a full term leading the city. Keefe faces former mayor and current City Councilor Dan Rizzo for the top job.

— “Cambridge passes new affordable housing rules, paving the way for taller buildings,” by Andrew Brinker, Boston Globe.

— “Worcester mayoral candidates debate police oversight at GBH News forum,” by Mark Herz, GBH News.

HEARD ‘ROUND THE BUBBLAH

TRANSITIONS — Denterlein's Anusha Mookherjee was promoted to VP.

Want to make an impact? POLITICO Massachusetts has a variety of solutions available for partners looking to reach and activate the most influential people in the Bay State. Have a petition you want signed? A cause you’re promoting? Seeking to increase brand awareness among this key audience? Share your message with our influential readers to foster engagement and drive action. Contact Jesse Shapiro to find out how: jshapiro@politico.com .

Follow us on Twitter